SYDNEY: InvestSMART Group Ltd., a digital wealth platform, announced Wednesday it has entered into a binding term sheet to sell its Intelligent Investor business to Teaminvest Private Group Ltd. for $16 million in cash, less certain liabilities.
The sale includes the Intelligent Investor website and management rights to four exchange-traded funds with a combined $280 million in funds under management. The transaction requires approval from InvestSMART shareholders and unitholders of the funds.
Intelligent Investor operates a stock research and newsletter business with 272,000 free active subscribers and approximately 7,000 paid subscribers, who generate average annual revenue of about $660 per user. The business is forecasting combined revenue of $7.45 million for fiscal 2026, with earnings before interest and tax between $2.7 million and $2.9 million.
For InvestSMART, the sale allows the company to focus on its proprietary wealth platform, digital investment advice and professionally managed accounts. CEO Ron Hodge said Intelligent Investor began in 1999 and has become one of Australia’s most respected investment newsletters.
“TIP has indicated their commitment and focus to grow the newsletter and funds management business, including through the financial adviser market,” Hodge said. “The TIP funds management business follows the same value investing methodology as Intelligent Investor and will be a perfect fit.”
For Teaminvest Private Group, the acquisition strengthens retail distribution while complementing its existing wholesale funds management, education and research activities. CEO Andrew Coleman said Intelligent Investor has been “the premier retail focused value investing brand for well over 20 years.”
“John Addis, Alan Kohler, Guarav Sodhi, Nathan Bell and the team have cultivated a premier position through consistent, detailed research,” Coleman said. “And critically, have changed the lives of tens of thousands of Australians.”
Completion of the transaction remains conditional on due diligence, financing, regulatory approvals and shareholder votes. InvestSMART noted there is no guarantee the deal will proceed.
The four ETFs included in the sale are the Intelligent Investor Select Value Share Fund, Intelligent Investor Equity Growth Fund, Intelligent Investor Ethical Share Fund and Intelligent Investor Australian Equity Income Fund.
